Investor Glossary-keynesian economicsInvestor Glossary-keynesian economicsInvestor Glossary-keynesian economicsInvestor Glossary-keynesian economicsInsightful stock market charts - Click here
investor
Categories    # A B C D E F G H I J K L M N O P Q R S T U V W X Y Z

Keynesian Economics

The HTML to link to this page
 

Keynesian economics, also called Keynesianism, is named for economist John Maynard Keynes. His 1936 book "General Theory of Employment, Interest, and Money" explored the principles of Keynesian economics. Unlike classical economics, which views the economic process as based on continuous improvements in potential output, Keynesian economics asserts the importance of the aggregate demand for goods as the driving factor, especially in downturns. Keynesian economics advocates government intervention, or demand-side management of the economy, to smooth out the bumps in business cycles and achieve full employment and stable prices. To stimulate the economy according to Keynesian economics, government intervention takes the form of government spending and tax breaks. To curb inflation, Keynesian economics believes government should cut spending and raise taxes.



Rate this Keynesian Economics definition...

Learn about investing with the Investor Glossary Term of the Day


Click here for insightful stock market charts. Where is the market headed? The answer may surprise you. Find out
with the exclusive & Barron's recommended charts of Chart of the Day.


Popular Terms: real GDP, per diem, APR, open position, ex-dividend date, current ratio, VIX, Zero Cost Collar, reverse mortgage, option premium, LIBOR, 1031 exchange, risk management, phantom income, cancelled check, FICO score, command economy, wholly-owned subsidiary, dividends payable, EBITDA, stock market close, balance sheet, deferred revenue, minority interest, irrevocable trust, deferred tax, required rate of return, 144a, FTSE, in escrow, limit order, stock split, implied volatility, debt service coverage, annual return, labor relations, quality assurance, ex-dividend, average price per share, inflation, 401a, 1035 exchange, class C shares, diluted share, margin rate, Key Rate Duration, retained earnings, liquidity ratio, covered put


Accounting | Banking | Bonds | Brokers | Economy | Futures | Mutual Funds | Options | Real Estate | Retirement | Stocks | Taxes | Technical Analysis
Home | Term of the Day | Suggest a Term | Chart of the Day | Dogs of the Dow
©2004-2015 Investor Glossary - All rights reserved - Terms of Use